S&P 500 Extends Profitable Streak as Main Inventory Indexes Submit Huge Features for the Week; UnitedHealth Surges After Promote-Off

Greatest S&P 500 Movers on Friday

Might 16, 2025 06:43 PM EDT

Advancers

• UnitedHealth Group (UNH) shares soared 6.4%, logging the highest every day efficiency within the S&P 500. The inventory clawed again among the heavy losses posted within the prior session amid stories that UnitedHealth’s Medicare Benefit enterprise was the topic of a legal probe. Information of the investigation got here on the heels of the insurance coverage large withdrawing its full-year steering and saying the departure of its CEO. Analysts urged the corporate might face a expensive authorized settlement and may have to regulate its Medicare Benefit technique.

• Moderna (MRNA) introduced that it has administered the primary dose in a Section 1 trial of an experimental most cancers remedy, signaling a step ahead for the biotech agency’s oncology portfolio. Moderna shares added 5.1%.
• Shares of economic know-how agency Fiserv (FI) additionally staged a partial restoration on Friday, bouncing 4.7% after sinking on Thursday. The volatility got here after Fiserv’s chief monetary officer supplied lackluster progress projections for Clover, the corporate’s point-of-sale platform.

Decliners

• Semiconductor tools producer Utilized Supplies (AMAT) reported lower-than-expected income for its fiscal second quarter, pressured by declining gross sales in China, which fell year-over-year for a 3rd straight quarter. Though web earnings for the interval topped estimates, Utilized Supplies shares tumbled 5.3%, shedding probably the most of any S&P 500 inventory on Friday.
• First Photo voltaic (FSLR) shares fell 4.2%, reversing a portion of the features posted by the inventory this week as a Congressional proposal included an extension of sure photo voltaic tax credit. Earlier than the selloff to shut out the week, First Photo voltaic inventory acquired a lift from analysts at Wolfe Analysis, who upgraded the inventory to “outperform,” citing the brighter outlook on tax credit.
• Shares of chocolate and confectionery large Hershey (HSY) slipped 2.4% after Piper Sandler reaffirmed its “underweight” score on the inventory. Analysts pointed to elevated costs for cocoa futures, noting that rising worth sensitivity amongst customers might have an effect on Hershey’s gross sales. In accordance with Piper Sandler, the chocolatier might undertake a wide range of cost-cutting or pricing measures because it seeks to deal with greater enter prices.

–Michael Bromberg

Moody’s Downgrades US Authorities Credit score Score

Might 16, 2025 06:16 PM EDT

Moody’s rankings company downgraded its beforehand top-notch score of the U.S. authorities’s creditworthiness on Friday, citing “persistent, massive fiscal deficits” that present no indicators of slowing.

The downgrade, which locations the U.S. authorities one notch beneath Moody’s prime Aaa standing, comes as lawmakers weigh a finances that may prolong vital tax cuts and enhance spending for years.

Although Republicans are at an deadlock, Moody’s mentioned in a press launch that it doesn’t imagine present discussions will yield “materials multi-year reductions in necessary spending and deficits.”

It projected U.S. debt will swell to 134% of the nation’s GDP by 2035, up from 98% final yr.

“Successive U.S. administrations and Congress have didn’t agree on measures to reverse the pattern of huge annual fiscal deficits and rising curiosity prices,” the rankings company mentioned, including that “persistent, massive fiscal deficits will drive the federal government’s debt and curiosity burden greater.”

The score mirrors previous actions from Moody’s two largest opponents within the rankings enterprise: S&P International and Fitch. The three companies price the flexibility of governments and companies to repay debt to buyers, and the way nicely they fare helps decide how excessive of an curiosity fee buyers require for these money owed.

–Pola Rocha

Main Indexes Have Posed Huge Features in 3 of Final 4 Weeks

Might 16, 2025 06:09 PM EDT

Main U.S. indexes had one other large week of features as considerations about tariffs and the economic system have subsided, a minimum of briefly.

The Dow Jones Industrial Common, S&P 500 and Nasdaq Composite every turned of their finest weekly efficiency for the reason that week of April 7. The key indexes rebounded from modest losses the week earlier than and have now posted vital features in three of the previous 4 weeks.

The Dow added 3.4% this week, whereas the S&P 500 and tech-heavy Nasdaq jumped 5.3% and seven.2%, respectively.

With their features this week, the S&P 500 and Dow have nudged again into optimistic territory for 2025, whereas the Nasdaq is down barely

Tesla Inventory Rises for Fourth Week in a Row

Might 16, 2025 05:16 PM EDT

Tesla (TSLA) shares rallied this week alongside the broader market, with the electrical car maker’s inventory posting features for the fourth consecutive week.

Shares added 2% to shut at just below $350 Friday, bringing the week’s features as much as 17%. Nonetheless, the inventory has misplaced about 13% for the reason that begin of the yr.

Constructive macro information like final week’s commerce take care of the UK and this week’s momentary tariff discount between the U.S. and China has outweighed latest downbeat information for Tesla, like declining gross sales and registrations in China and several other nations throughout Europe.

Tesla’s model has been battered in latest months as protests have focused the automaker over Musk’s involvement within the Trump administration. Analysts known as for Musk to step away from the federal government work main as much as final month’s earnings name, with some saying Tesla had sustained “unprecedented model harm.”

Many buyers are wanting ahead to updates on Tesla’s plans for a extra reasonably priced mannequin, and when the EV maker will begin providing paid rides in autonomous Tesla autos in Austin, Texas. CEO Elon Musk mentioned in final month’s earnings name that each would seemingly happen on schedule by the tip of June, and he additionally dedicated to spending extra time on the firm beginning this month.

–Aaron McDade

Watch These UnitedHealth Ranges After Friday’s Rebound

Might 16, 2025 05:06 PM EDT

UnitedHealth Group (UNH) shares surged Friday after tumbling to a pandemic-era low yesterday following stories that the corporate is being investigated by the Division of Justice for doable Medicare fraud.

It has been a troublesome a number of weeks for the well being care large. Final month, the shares plummeted plummeted 22% in a day when the corporate lowered its full-year revenue forecast, whereas on Tuesday this week the inventory dropped 18% on information that CEO Andrew Witty was stepping down.

UnitedHealth shares rose greater than 6% on Friday to shut slightly below $292. Even with at this time’s features, the inventory has misplaced about half its worth over the previous month as a surge in medical prices compounds different challenges dealing with the corporate, together with a broader public backlash towards the medical health insurance business.

After staging a decisive shut beneath the 50- and 200-day transferring averages in mid-April, UnitedHealth shares have traded sharply decrease in a transfer that has thrust the relative power index (RSI) into oversold territory.

Furthermore, the inventory’s vital drop this week has occurred on the very best weekly buying and selling quantity since April 1998, signaling promoting conviction by bigger market members, comparable to institutional buyers and pension funds.

Traders ought to watch main help ranges on UnitedHealth’s chart round $249 and $212, whereas additionally monitoring essential overhead areas close to $325 and $365.

Learn the complete technical evaluation piece right here.

–Timothy Smith

Small Caps Notch Longest Profitable Streak Since 2023

Might 16, 2025 04:37 PM EDT

Small-cap shares on Friday notched their longest stretch of optimistic weeks since 2023 as markets continued to rally on optimism a few cooling of the worldwide commerce tensions that had roiled monetary markets.

The benchmark Russell 2000 closed out its sixth consecutive week of features on Friday, its longest streak since December 2023 when slowing inflation pushed Treasury yields decrease and boosted optimism the Federal Reserve would reduce rates of interest the next yr. 

Shares have been buoyed this week after the U.S. and China agreed to slash tariffs on one another’s imports for 90 days as officers negotiate a extra complete commerce deal. The Russell 2000 jumped after that settlement was introduced Monday, erasing all of its post-“Liberation Day” losses. 

Small-cap shares have been hit notably laborious by President Trump’s financial insurance policies. The Russell 2000 misplaced practically 1 / 4 of its worth between Trump’s inauguration and the day he paused most tariffs for 90 days. In the meantime, the Russell 1000, which represents the highest 1,000 firms by market cap within the U.S., slid about 18% over the identical interval.

Smaller firms are anticipated to have a tougher time adapting to tariffs than their bigger opponents, whose scale offers them leverage to barter costs alongside the availability chain. Bigger firms additionally usually have simpler entry to capital, which may be important for weathering disruptions.

Regardless of their latest rally, small caps nonetheless lag their large-cap friends. The Russell 2000 is down 5% year-to-date, whereas the Russell 1000 has inched up 1%. The small-cap index has additionally trailed the efficiency of the benchmark S&P 500 index and the Dow Jones Industrial Common, that are each in optimistic territory for 2025.

–Colin Laidley

Nvidia CEO Huang Set to Communicate at Computex on Sunday

Might 16, 2025 03:18 PM EDT

Nvidia (NVDA) CEO Jensen Huang is ready to take the stage this Sunday at Computex, an annual know-how commerce present, with this yr’s theme—“AI Subsequent”—centered squarely on the rising know-how that has currently powered progress within the firm’s enterprise.

Huang’s keynote, which will probably be livestreamed from Taipei’s Music Heart at 11 p.m. ET Sunday, is anticipated to focus on Nvidia’s newest advances, and should deliver bulletins of recent partnerships. (You possibly can watch the occasion right here.)

Shares of the AI chipmaker’s inventory have been little modified Friday. They’ve added roughly 15% this week as a Saudi Arabian partnership introduced Tuesday throughout President Donald Trump’s journey to the Center East raised hopes for future offers. The latest features have helped Nvidia shares edge again into optimistic territory for the yr. The potential for brand spanking new bulletins at Computex might current one other catalyst for the inventory, together with the corporate’s first-quarter earnings report due Might 28.3

 At final yr’s Computex, Nvidia had introduced the successor to its Blackwell AI chip, referred to as Rubin, sending shares greater. Huang in March mentioned Rubin is nonetheless set to launch in 2026.

“We might anticipate comparatively optimistic information on the AI entrance out of Computex subsequent week,” Wedbush analysts informed purchasers in a notice Friday.

Different chipmakers are additionally scheduled to current later within the week, with Superior Micro Units (AMD) set to showcase its newest developments on Tuesday. Like Nvidia, AMD’s inventory acquired a lift from Saudi offers introduced earlier within the week, with its shares up about 14% for the week.

Qualcomm (QCOM) can even be among the many firms presenting. Intel (INTC) CEO Lip-Bu Tan will not be among the many occasion’s audio system, however Reuters reported he is set to attend and host personal dinners with companions.

 Computex will run by means of Might 23.

–Kara Greenberg

Take-Two Interactive Slips as Outlook Comes Up Brief

Might 16, 2025 02:08 PM EDT

Take-Two Interactive (TTWO) reported fiscal fourth-quarter income that topped analysts’ expectations, however the gaming firm’s web loss and forecast dissatisfied, sending shares decrease.

The father or mother of standard video-game studios Rockstar Video games and 2K late Thursday reported income of $1.58 billion, up 13% year-over-year and above the analyst consensus from Seen Alpha. Internet bookings climbed 17% to $1.58 billion, which additionally topped estimates.

Take-Two informed buyers to anticipate full-year income of $5.95 billion to $6.05 billion, together with a web lack of $439 million to $499 million. Wall Road was on the lookout for income of $7.72 billion and earnings of $165 million, in response to Seen Alpha.

The information comes two weeks after Take-Two introduced Rockstar’s hotly anticipated Grand Theft Auto VI sport could be delayed till Might 2026. That originally despatched shares decrease, though the launch of a trailer for the sport on Might 6 helped renew investor optimism. 

CEO Strauss Zelnick mentioned the corporate’s upcoming lineup of video games, together with Grand Theft Auto VI, will “set up a brand new baseline for our enterprise and set us on a path of enhanced profitability.”

Take-Two’s web loss was $3.73 billion, or $21.08 per share, wider than the $2.9 billion, or $17.02 per share, it reported within the year-ago quarter. Take-Two mentioned the loss was due in a part of a $3.55 billion goodwill impairment cost.

Take-Two share have been down 2% in mid-afternoon buying and selling Friday. The inventory is up 24% to this point this yr,

–Andrew Kessel

Utilized Supplies Worth Ranges to Watch as Inventory Tumbles

Might 16, 2025 01:11 PM EDT

Utilized Supplies (AMAT) shares fell Friday after the chip tools producer posted quarterly income beneath Wall Road expectations amid a hunch in China gross sales.

AMAT shares plunged practically 40% between late January and early April amid considerations that the Trump administration’s commerce insurance policies, together with new AI chip licensing export necessities to China, might have an effect on the corporate’s gross sales. Nevertheless, even with at this time’s decline, the inventory is up greater than 30% from final month’s low following the latest commerce warfare truce with China.

Since hitting a document excessive final July, Utilized Supplies shares have trended decrease inside a descending channel.

Extra lately, the inventory nudged above the sample’s higher trendline however has didn’t decisively shut above the close by 200-day transferring common. It’s additionally value noting that the pre-earnings rally coincided with the relative power index transferring into overbought territory, setting the stage for profit-taking.

Traders ought to watch key help ranges on the Utilized Supplies chart round $158 and $145, whereas additionally monitoring overhead areas close to $190 and $213.

The inventory was down 6% at round $164 in latest buying and selling.

Learn the complete technical evaluation piece right here.

–Timothy Smith

Quantum Computing Inventory Soars on Robust Earnings

Might 16, 2025 11:32 AM EDT

Quantum Computing (QUBT) surged Friday, a day after the supplier of photonic and quantum optics know-how swung to a revenue on advantages from an earlier acquisition and rising demand for its skinny movie lithium niobate photonic chips.

The corporate posted first-quarter earnings of $17 million or $0.11 per share, in contrast with a lack of $6.4 million or $0.08 per share a yr in the past. Income rose to $39,000 from $27,000. 

Quantum Computing famous that the acquire in web earnings was primarily due to “a $23.6 million non-cash acquire on the mark-to-market valuation of the Firm’s warrant legal responsibility because of our merger with QPhoton in June 2022.”

Interim CEO Dr. Yuping Huang mentioned that throughout the interval the agency completed development of its Quantum Photonic Chip Foundry in Tempe, Ariz., and that it’s “inspired by our early traction, which is step one in what we imagine is a major, multi-year alternative to serve the increasing markets in datacom, telecom, and quantum-enabled functions.”

Huang added that Quantum Computing deepened its engagement with each authorities and business companions, “reinforcing the rising curiosity in our quantum and photonic machines and positioning QCi to capitalize on rising alternatives forward.”

The information was in distinction with one other quantum computing agency, Rigetti Computing (RGTI), which reported earlier this week that quarterly gross sales plunged.

Quantum Computing shares have been up 35% in latest buying and selling. Regardless of the large acquire at this time, the inventory continues to be down 25% for the reason that begin of 2025.

–Invoice McColl

Cava Inventory Drops Regardless of Topping Earnings Estimates

Might 16, 2025 10:37 AM EDT

Cava Group (CAVA) shares fell Friday, a day after the Mediterranean fast-casual chain’s outlook offset better-than-expected outcomes.

The corporate did not change its estimates for full-year same-restaurant gross sales progress (6.0% to eight.0%) and restaurant-level revenue margin (24.8% to 25.2%) from the steering it gave in February. It additionally raised its prediction for pre-opening prices to $14.5 million to $15.5 million from $14.0 million to $15.0 million.

Nevertheless, it did enhance its outlooks for web new Cava restaurant openings to a variety of 64 to 68 from 62 to 66, and adjusted EBITDA to $152.0 million to $159.0 million from $150.0 million to $157.0 million.

Within the first quarter, Cava reported earnings per share of $0.22 on income that surged 28% year-over-year to $331.8 million. Each have been above Seen Alpha forecasts. Identical-restaurant gross sales grew 10.8%, additionally above estimates, and visitors rose 7.5%.

Co-founder and CEO Brett Schulman mentioned the efficiency confirmed the persevering with power of the corporate’s category-defining model, “despite financial uncertainty and difficult climate.”

In a notice to purchasers, JPMorgan analysts remained bullish on Cava, affirming their latest re-upgrade of the inventory with a “purchase now and personal for the long run” opinion. They added the corporate was “comping nicely in a troublesome atmosphere.”

Cava shares have been down 4% lately. The inventory has misplaced about 16% of its worth for the reason that begin of the yr.

–Invoice McColl

Novo Nordisk Inventory Slides as CEO Departs

Might 16, 2025 10:04 AM EDT

U.S.-listed shares of Novo Nordisk (NVO) declined in early buying and selling Friday on the shock information that CEO Lars Fruergaard Jørgensen is stepping down from the Danish drugmaker.

The maker of blockbuster weight-loss medication Ozempic and Wegovy mentioned Friday that Jørgensen’s departure is a “mutual settlement,” and that he’ll keep on as CEO whereas a successor is discovered. The corporate mentioned a search is “ongoing, and an announcement will probably be made sooner or later.”

Novo Nordisk cited “latest market challenges Novo Nordisk has been dealing with, and the event of the corporate’s share worth since mid-2024” as causes that the board is trying to transfer on from Jørgensen, who has been CEO since January 2017.

“Novo Nordisk’s technique stays unchanged, and the Board is assured within the firm’s present enterprise plans and its capability to execute on the plans,” board chair Helge Lund mentioned.

The drugmaker’s inventory surged to document highs within the first half of final yr as gross sales of its standard weight-loss medication despatched income hovering. Nevertheless, shares entered Friday down simply over 50% within the final 12 months as gross sales progress began to sluggish and research confirmed that the energetic ingredient in rival Eli Lilly’s (LLY) Mounjaro and Zepbound induced larger weight reduction than that of Ozempic and Wegovy.

Novo Nordisk shares have been down 4% lately.

–Aaron McDade

AMD Ranges to Watch After Profitable Streak Snapped

Might 16, 2025 09:31 AM EDT

Superior Micro Units (AMD) shares rose in premarket buying and selling after falling Thursday for the primary time in seven periods.

The chip designer’s inventory rallied to it highest stage since early February on Wednesday after the corporate accredited a further $6 billion to its share repurchase plan, upping its buyback program to $10 billion. The buyback information got here on the heels of the chipmaker and AI favourite Nvidia (NVDA) saying Tuesday they might provide semiconductors to Saudi Arabian AI startup Humain as a part of initiatives introduced as President Donald Trump kicked off a four-day journey to the Center East. 

By Thursday’s shut, the inventory was up 50% from its early-April low and had gained 17% since Might 6, when the corporate posted better-than-expected earnings and an upbeat outlook pushed by AI momentum. AMD shares have been up 2.5% at round $118 earlier than the opening bell Friday.

Since a bear lure marked the underside in AMD shares final month, the worth has damaged out above the 50-day transferring common and a descending channel, with features accelerating in latest buying and selling periods.

Nevertheless, whereas the relative power index (RSI) confirms bullish worth momentum with a studying above the 70 threshold, it additionally flashes  overbought circumstances, doubtlessly resulting in a interval of-near-term consolidation.

Traders ought to watch essential help ranges on AMD’s chart round $110 and $96, whereas additionally monitoring necessary resistance ranges close to $132 and $150.

Learn the complete technical evaluation piece right here.

–Timothy Smith

Main Index Futures Barely Greater

Might 16, 2025 08:55 AM EDT

Futures tied to the foremost U.S. inventory indexes have been every up 0.3% lately.

Dow Jones Industrial Common

S&P 500

Nasdaq 100